Thursday, 7 May 2015

Factors that shift a woman from “not in the labour force” to in the labour force

What economics factors might shift a woman from “not in the labour force” to in the labour force? Discuss. 
 
Labour force includes all those individuals 16 years of age and over who worked for pay or profit during the reference week or actively sought paid employment during the four week prior to the reference week, where they are active in labour market. Labour force are comprised of both the employed and the unemployed.
According to the Amtul Hafeez and Eatzaz Ahmed (2002) female labour force participation has an important contribution in socioeconomic development by providing a second income and therefore reducing poverty.

Diagram 1: Labor force participation of female and male
Based on diagram 1 above, it show the labour force participation among female and male from years 1948 to 2004. The participation of among female increasing over year by year, while the participation among male worker decreasing over the year. The increasing of women in the labour force maybe due to increasing in level of education, or decreasing the traditional perception among old people towards women where women only can be as a wife and mother towards their children. 

The several economics factors of shifting a women from “not in the labour force” to in the labour force are:
1. Increase standard of living
2. Inflation
3. Financial Problem/ increase purchasing power
4. Government policy
5 Technology

The first factor might shift a women from “not in the labour force” to in the labour force is to increase the standard of living. Standard of living are closely related to quality of life. The standard of living includes factors such as income, quality and availability of employment, class disparity, poverty rate, quality and affordability of housing, hour of work required to purchase necessities, inflation rate and affordable access to quality healthcare. Women participate in the labour force to increase the standard of living to get the comfortable life due to inflation rate that faced by Malaysian or others countries nowadays. Besides that, it also due to salary of the breadwinner (husband) are not enough, so women force to participate in the labour force to earn the wage to get more comfortable life, where it help them to easily access in healthcare system and to provide a good education level to their children. As we know, nowadays are the Information Technology (IT) era. People looks IT as a necessity and as we can see, nowadays almost all people have a smart phone such as Ipad, Samsung Galaxy Note and Iphone. So to have one of it, they have to work to earn the money to buy the mobile phone. So to increase the standard of living women have to participate in labour force, to increase their quality of life.
The second factor is inflation. In economics, inflation is a sustained increase in the general price level of goods and services in an economy over a period of time. When the general price level raises, each unit of currency buys fewer goods and services. For example, the price of house, land, car, rental house and good and services are increased due to inflation, so it force the one or more of the family members to seek the job from not involved in labour force to involve in labour force. So women have to seek a job to help their husband to pays those bill and to pays the educational cost of their children. 
The third factor is financial problem and to increase purchasing power. For example the breadwinner of the family that is the husband or the father of the family was sick or does not able work due to accident, so it force women became as a breadwinner of the family, where women have to participate in the labour force to earn the money to bear their husband healthcare cost and for the family living. Due to financial problem also, women enter the labour force to increase their purchasing power, means that they does not need to depend on their husband wage to buy the thing that they desire to owns. The financial problem faced by the family nowadays is a major factors that force women to involve in the labour force. It is to help their husband to provide good education level and a good quality of life to their family especially to their children.  
The fourth factor is the government policy, where government increase or give an employment opportunity to the women. Before this, women always victim of discrimination where they does not get same job opportunity as male. They also the victim of sexual harassment. Due to these factors, the number participation of women in the labour force are smaller than male. So when government introduce women protection act such as “Sexual Harassment of Women at Workplace Act” and “Laws on violence against women” the participation of women in the labour force are increase, because they was protected by the government and company policy. The others government policy that increase women labour force in the labour force is the maternity leave. If you become pregnant while in employment, you entitled to take maternity leave. The entitlement to a basic period of maternity leave from employment extends to all female employees (including casual workers), regardless of how you have been working for the organisation or the number of hours worked per week. So the “Maternity Protection Acts 1994 and 2004” introduced by the government in Malaysia was increase the participation of women in the labour market, where they still can work even after give birth. 
The last factor is technology. The use of technology in industrial as their capital also help the participation of women in the labour market. For example, before the exist of technology, manufacturing industry use a lot of male energy, where they need the energy of male for lifting the thing, but when the company invent in technology it make the work become more easier. So at the end the number of male worker decrease because their services are not required due to replace by technology. The technology make work became easier, so it give a job opportunity to the women where they able to do manufacturing process as well as male because it does not use a lot of energy.  The decreasing number of worker among male in the manufacturing industry also as a factor the employer hire women in their firm, because women have a same productivity level as male or may be more productive than male. 
As a conclusion, there are lots of economics factors that might shift a woman from “not in the labour force” to in the labour force such as to increase the standard of living, inflation,  financial problem, increase the purchasing power, government policy and technology. Other than that factors is due to education level which is increasing among women nowadays, family problem such as divorce or increasing number of single mothers. The government policy such as maternity leave and sexual harassment act for women help them be protected and able to encourage them to involve in labour force. Besides that a minimum wage also a factor of increasing number of female worker in the labour force, where this policy able to protect their wage being discriminate due to different gender and sex.

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